Source: Sharecast
The FTSE 100 was called to open around 28 points lower.
On Tuesday, US Defence Secretary Pete Hegseth said the US would launch its most intense day of strikes on Iran.
Meanwhile, the US Central Command said its forces had struck and destroyed 16 of Iran’s minelayers near the Strait of Hormuz. President Donald Trump subsequently wrote on Truth Social that if Iran had put any mines in the Strait, "we want them removed, IMMEDIATELY!"
Geopolitics aside, investors will eye the release of the US consumer price index for February at 1230 GMT.
Ipek Ozkardeskaya, senior analyst at Swissquote, pointed out that the report pertains to a period before Middle East tensions escalated, pushing energy prices higher.
"Middle East trade disruptions also threaten food prices via rising fertiliser costs, as fertilisers require natural gas for production and a large share of global supply comes from the Gulf region. And that is without even talking about the potential impact of US tariffs," she said.
"So today’s US CPI report will likely be taken with a pinch of salt. Investors will keep in mind that the recent jump in energy prices could add a few basis points to inflation in the coming months, as energy prices often account for a large share of short-term swings in inflation."
In UK corporate news, Balfour Beatty posted a jump in full-year profits, driven by strong performances in UK construction and support services.
Revenues in the year to December end rose 8% to £10.8bn, while underlying profits from earnings-based businesses - the infrastructure specialist’s preferred measure of profitability - jumped 16% at £293m.
The order book also strengthened, rising 23% to £22.7bn, including more than £3.5bn of new UK power generation projects.
South America focused miner Hochschild reported a rise in annual earnings as geopolitical turmoil boosted precious metals prices.
Adjusted core earnings surged 39% to $583.7 million. The company said it was encouraged by an “exceptional” pricing environment although precious metal markets remain volatile.
Investment firm 3i Infrastructure said it has agreed to invest approximately €300m to acquire a majority stake in Lefdal Mine Datacenter, a Norwegian data‑centre campus on the country's west coast.
The firm said the stake in Lefdal Mine Datacenter was being acquired from a fund managed by Columbia Threadneedle Investments, whose largest investor will reinvest alongside 3i Infrastructure. Completion is expected in summer 2026.